12th June 2015
The Co-op Bank has announced its results for 2014. The bank lost money but much less than in 2013.
The Guardian (see link) focuses on the retention of Niall Booker and the possible pay package and quotes Peter Hunt of Mutuo who calls the package 'unethical'.
The bank gave Save Our Bank this statement:
The Co-op Bank has finally unveiled its new Ethical Policy - and the good news is that, in the words of an old TV ad, there’s “nowt taken out”.
The Bank of England announced this morning that The Co-operative Bank had - as expected - failed the most recent round of stress tests. Other banks - RBS and Lloyds scraped through.
In a statement released by the Co-op Bank, CEO Niall Booker said that a revised plan had been accepted by the regulator. The bank further says it has no plans to raise further capital.
After the launch of the bank's Ethical Policy poll, we expressed our surprise that some of the statements in the bank's existing Ethical Policy were not included in the survey.
The Chair of the Co-operative Bank has announced he will step down 1 October - earlier than originally planned.
Richard Pym was brought in to help stabilise the bank following a credit downgrade and take it through the re-capitilisation process last year. He replaced Paul Flowers, who was subsequently embroiled in a scandal involving illegal drugs.
The Co-operative Bank announced today - Bastille day - that it has received 73,000 responses to its ethical survey. This is almost as many as the last survey, which was backed by a much bigger publicity campaign including TV advertising. It is a strong indicator of the importance customers still place with the ethical stance of the bank.
Co-operatives UK, the federation representing the UK's co-operative sector, has said that the Co-operative Bank can keep using its name, providing that it satisfies certain criteria. These include requirements that the bank should “exist in order to promote co-operative activity” and “operate in line with co-operative values, and not discredit the co-operative business model”.
In an article for Comment is Free in the Guardian, the Co-op Bank CEO Niall Booker refers to the history of the co-op movement and promises not to drop previous ethical commitments. This is exactly what Save Our Bank has been calling for.